Latest News | Sebi Extends Relaxation to Listed NCDs from Sending Physical Copies of Financial Statement

New Delhi, Jun 5 (PTI) Markets regulator Sebi on Thursday provided limited relaxation to issuers of listed non-convertible debt securities from the requirement to send hard copies of key financial documents to investors.

In its circular, the regulator extended an exemption pertaining to Regulation 58(1)(b), which mandates sending hard copies of financial statements and related documents to holders of non-convertible securities who have not registered their email addresses.

Also Read | Who Is Pinaki Misra? From Age to Family Background and Net Worth, Here's All About BJD Leader With Whom Mahua Moitra Reportedly Married.

The move is in line with the Ministry of Corporate Affairs' (MCA) decision to extend similar relaxations until September 30, 2025.

Based on the MCA's extension and stakeholder requests, Sebi has decided that from October 1, 2024 to June 5, 2025 "no penal" action will be taken for entities having listed non-convertible securities for not sending physical copies of financial statements, including board's report, auditor's report and other documents.

Also Read | Ladki Bahin Yojana Update: Fraudulent Claimants Face Heat As Maharashtra Govt to Cross-Check Income Tax Data; Know Who Is Eligible for INR 1,500 Monthly Aid.

This would be followed by a second phase of relaxation lasting until September 30, 2025, subject to further disclosures made through advertisements.

The entities need to include in their advertisement a web link to the statement showing key details of all documents to ensure that holders of these securities can easily access the information.

This circular is effective immediately.

In April, Sebi came out with a consultation paper in this regard.

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)